NASCAR: Charlotte city officials propose deal to waive debts on Hall of Fame

2 Comments
source: Getty Images
The NASCAR Hall of Fame has been open since 2010. Photo: Getty Images.

The NASCAR Hall of Fame has struggled to make money and bring in solid crowds since its 2010 opening in Charlotte, North Carolina. Now, the city has proposed a new deal to help get out of obligations that it owes on the building.

As part of the deal, the city would make a payment of $5 million to Wells Fargo and Bank of America on construction loans. This sum would come from a 2 percent hotel tax that was implemented during the Hall’s early development.

The banks would then forgive the remainder of a $19 million loan, and NASCAR itself would waive $3.2 million in royalties that it has not yet received due to the Hall’s financial struggles.

NASCAR would also see its future royalty payments reduced from 10 percent of Hall revenues to 3 percent of revenues in excess of more than $10 million.

Additionally, the Charlotte Regional Visitors Authority, operators of the Hall, would give each bank five years of Hall sponsorship, valued at $250,000 annually.

The Charlotte city council is expected to vote on the deal next Monday.

Deputy City Manager Ron Kimble said to the Charlotte Observer that the goal was to “bring the Hall into a break-even position,” but the Observer’s Steve Harrison reports that the Hall is still expected to lose money in future years even if the proposal goes through.

Adding to the difficult situation, NBC Charlotte (WCNC-TV) reports that members of the council are mixed on the proposal and whether or not the Hall can survive on its own even if the debt is paid off.

The Hall was expected to bring in 400,000 visitors annually, but last year, it only attracted 170,000 visitors. It has also lost more than $1 million per year since opening its doors, and corporate sponsorships that it expected to sell and use to pay off the bank loans have not come to fruition often enough.

A second, $20 million loan was also used to help build the Hall in addition to the aforementioned one. This loan involves the sale of public land near the Hall.

The Observer report notes that the city has already sold one part of the land and also has a contract of nearly $10 million in place to sell another part. It expects to eventually pay off this loan in full.

Andretti United team names drivers for inaugural Extreme E season

Extreme E drivers Andretti
Extreme E
Leave a comment

The Extreme E team formed by Andretti Autosport and United Autosports named Catie Munnings and Timmy Hansen as its drivers Monday for the series’ inaugural 2021 season.

Munnings is a successful veteran of rally series. Hansen is a past winner and champion in the World Rallycross Championship.

They both will race in the environmentally conscious electric SUV series that will hold events in five areas around the world that are threatened by climate change. Chip Ganassi Racing and six-time Formula One champion Lewis Hamilton also are fielding cars in Extreme E, which will feature male and female co-drivers on every team.

Catie Munnings

“I’m so excited to join Andretti United Extreme E,” Munnings said in a release. ““I was really intrigued when I first heard about Extreme E, I just knew I had to be involved. The male / female racing partnership is a fantastic and exciting new concept. The season has incredible locations and the racing will be very exciting. It will be a new challenge for the teams and drivers, and I’m so thrilled to be working with such a strong team.

“The championship is a really innovative concept, it’s combining motorsport and science and will produce an important legacy in each race location. Bringing the platform that motorsport has in line with the awareness that the planet needs right now is awesome and a really important message.”

Timmy Hansen

Said Hansen: “Going into the Extreme E will be a new chapter in my career, one that I am extremely excited about. It is something brand new, not only for me, but the whole of motorsport. The format is something

we’ve never seen before. I’m also delighted to be able to carry the message of something bigger – talking about the environment and doing something good for the world – that’s something that really drives me. It’s going to be a big adventure in life to see these locations and I’m going to do my best in carrying this responsibility and hopefully making people aware of the challenges we have in the world, together with our passion for racing.”